Washington D.C. Begins Online Gambling, Then Has The FBI Shut Down Their Top Three Online Gambling Competitors

April 17, 2011 11:24 am 0 comments

Creative Commons - by Plutor

Washington D.C. will become the first U.S. jurisdiction to allow Internet gambling.

D.C. Council member Michael A. Brown authored the provision which was slipped into the 2011 budget and the 30-day period for Congress to object expired last week. With an estimated 8 to 10 million Americans playing online poker, this could become an enormous cash cow for the District of Columbia.

The District is becoming the first U.S. jurisdiction to allow Internet gambling, trying to raise millions of dollars from the habits of online poker buffs and acting ahead of traditional gambling meccas like New Jersey and Nevada.

The move to legalize the games comes despite a 2006 federal law that effectively banned Internet gambling. The law basically prohibited banks and credit card companies from processing payments from gambling companies to individuals. But the law is murky, and gambling experts say it created enough grey areas to open the door for a deeper expansion into the multibillion dollar industry.

“There was really no clear law that said we could not do this,” Brown said Wednesday.D.C. hopes to tap those millions to help offset budget cuts and help social services programs, Brown said.

In a bizarre twist of fate, the FBI suddenly shut down their top three online gambling competitors this week.

Executives at PokerStars, Full Tilt Poker and Absolute Poker have been charged with bank fraud and money laundering.

The FBI shut down three of the largest poker websites Friday in what appears to be the largest crackdown on illegal online gambling to date.

Eleven executives at PokerStars, Full Tilt Poker and Absolute Poker have been charged with bank fraud, money laundering and illegal gambling offenses. Prosecutors are seeking to immediately shut down the sites and recover $3 billion from the firms.

“As charged, these defendants concocted an elaborate criminal fraud scheme, alternately tricking some U.S. banks and effectively bribing others to assure the continued flow of billions in illegal gambling profits,” said U.S. Attorney for Manhattan Preet Bharara in a statement.

How dare they make all those gambling profits without letting the government in on their action!

Whether you are supportive of gambling or not, you must be amazed by the hypocrisy of our government. This is the equivalent of the police arresting a drug dealer, confiscating his merchandise, then selling it themselves without  having any competition. Pure Chicago style thug tactics.

What’s next? Will Obama allow D.C. to have a “Poker Czar?”

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